CE(LOCAL) - ANNUAL OPERATING BUDGET

Fiscal Year

The District shall operate on a fiscal year beginning September 1 and ending August 31.

Budget Planning

Budget planning shall be an integral part of overall program planning so that the budget effectively reflects the District's programs and activities and provides the resources to implement them. In the budget planning process, general educational goals, specific program goals, and alternatives for achieving program goals shall be considered, as well as input from the District- and campus-level planning and decision-making committees. Budget planning and evaluation are continuous processes and shall be a part of each month's activities.

Budget Hearing

The annual public hearing to discuss the proposed budget and tax rate shall be conducted as follows:

The Board President shall request at the beginning of the hearing that all persons who desire to speak on the proposed budget and/or tax rate sign up on the sheet provided.

Prior to the beginning of the hearing, the Board may establish time limits for speakers.

Speakers shall confine their remarks to the appropriation of funds as contained in the proposed budget and/or the tax rate.

No officer or employee of the District shall be required to respond to questions from speakers at the hearing.

Authorized Expenditures

The adopted budget provides authority to expend funds for the purposes indicated and in accordance with state law, Board policy, and the District's approved purchasing procedures. The expenditure of funds shall be under the direction of the Superintendent or designee who shall ensure that funds are expended in accordance with the adopted budget.

Budget Amendments

The Board shall amend the budget when a change is made increasing any one of the functional spending categories or increasing revenue object accounts and other resources.

Budget Control

Primary responsibility for budget control rests with the Superintendent. The business manager shall be responsible for controlling and amending the budget as needed and ensuring that no expenditure is made unless funds have been properly authorized. Funds are properly authorized only when approved by the Board and submitted through the business manager.

The Superintendent may authorize expenditure of an amount exceeding ten percent of the budget on an individual approval basis.

The business manager shall prepare a midyear report reflecting the current financial condition of the District. Amendments to the currently approved budget may be submitted for Board approval, as needed.

Fund Balance Classification

Fund balance classification shall be recorded in accordance with governmental accounting standards as promulgated by the Governmental Accounting Standards Board.

Order of Expenditure

The order of spending and availability of the fund balance shall be to reduce funds from the listed areas in the following order: restricted, committed, assigned, and unassigned. Negative amounts shall not be reported for restricted, committed, or assigned funds.

Fund Balance

Fund balance shall mean the gross difference between governmental fund assets and liabilities reflected on the balance sheet. Governmental fund assets are those of the general fund, special revenue funds, debt service funds, and capital project funds.

Fund Balance of the General Fund

The fund balance of the general fund shall mean the gross difference between general fund assets and liabilities reflected on the balance sheet.

Brady ISD

CE(LOCAL)-X

LDU 2011.05

DATE ISSUED: 9/12/2011